The team at Bondora notes that 2022 ended strong “with impressive numbers across [their] portfolios.”
December reportedly had “the highest loan originations and investment figures, over €1M in recoveries, and more.”
In December, 1,500 new investors joined Bondora. Investors have “earned more than €88M in returns on their total investment amount of over €713M.”
For the last month of 2022, loan originations surged “by 14.2% from November. A total of €16,107,253 was originated.” This is “the highest origination figure for 2022.” Finland had “the most significant increase, climbing by 19.7%, totaling nearly €10M.” Estonia followed “with a 9.25 increase to just over €5M.” Spain had “a slight decrease of 2% but still managed to originate €1,151,096’s worth of loans.”
The Netherlands loan market is “still temporarily closed, but we hope to re-open in Q1 2023.” This is vital “to ensure we only expand in markets that offer good-quality loan portfolios for our investors.” Due to risk model updates, the overall average interest rate “dropped from 21.7% to 19.9% across all active loan markets.”
After following months of overall decreases, the Secondary Market surprised the Bondora team in the last month of the year “with a dramatic increase of 86.3%. A total of €150,287 was transacted on the Secondary Market between investors.”
And all the categories “had activity increases.” The largest jump “came from Portfolio Manager transactions.” They increased by 369.8%. Manual transactions “followed with a 114.5% increase. And the API trailed with a solid 19.8% increase.” Manual transactions still “make up the overwhelming majority, with €107,644’s worth of transactions.”
The December collection and recovery figures “will be an outlier in the year. This is due to the finalizing of a defaulted Estonian loan portfolio sale.” You will remember Bondora “had a similar successful sale in April.” Of course, this meant “that overall collections, and Estonian collections, skyrocketed.”
As noted in the update from Bondora:
“A total of €1,855,570 was recovered, translating to a total of 82,943 loans. Due to the sale in December, most cash and loans were recovered from Estonia. The sale totaled €1,437,597. In Finland, cash recoveries decreased by 22.0% to €367,640. Spain’s cash recovery figures decreased by 34.6% to €50,272.”
The Bondora team also mentioned that “no recoveries are made in the Netherlands, as it’s a brand-new market.” The 2014-2022 recovery rate “ended the year at 48.0%, declining slightly from 48.3%.”
As noted in a blog post by Bondora:
“Mirroring the loan originations increase, investment product funding also increased with gusto. Investments jumped by 14.7% to a total of €16,050,542. This is also the highest figure for investments we’ve seen this year.”
Bondora pointed out that Go & Grow “made up €15,555,370.” This is 96.9% of “all investments.”
Portfolio Manager “followed with €288,806, a 1.8% share, then Portfolio Pro with €204,301, a 1.3% share, and the API with €1,975.”
- Go & Grow + 14.6%
- Portfolio Manager + 17.1%
- Portfolio Pro + 12.0%
- API + 3.3%